Sixty-seven percent of asset managers surveyed by Russell Investments said corporate bonds look attractive, 61% are bullish on junk bonds, and 57% are optimistic about equities. This is the first time in five years that money managers have had a more favorable outlook on fixed income than on stocks.
And only 57% now believe that the stock market is undervalued, down from 72% who thought so in December. Among stocks, most managers have a more favorable outlook on growth (57%) than on value (42%). Within sectors of the stock market, the most popular is technology, cited by 62%, and the least popular is financial services, cited by only 30% asbeing a good investment.